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Cabinet to resume grains exporters VAT reimbursement through Agrarian Fund

12.02.2010 10:56 "Agro Perspectiva" (Kyiv) Cabinet is going to renew mechanism of grains exporters VAT compensation through Agrarian Fund (which has been efficient in 2009), reported Minister of Agrarian Policy Yuriy Melnyk. «We would like to resume norm accepted in 2009, norm which was efficient enough, — that is, VAT reimbursement to grains exporters through Agrarian Fund,» declared Melnyk. Melnyk admitted presently Agrarian Fund has over 1.5 mn MT grains which can be used to assure exporters VAT reimbursement. As earlier reported, in Feb 2009 Ukrainian Government approved scheme stipulating that traders should have been compensated VAT with grain (with compensation operations to be carried out through Agrarian Fund). In part., scheme stipulated that Agrarian Fund should have concluded contracts with traders on Agrarian Exchange Market for grains sales at average price formed within 3 last grains trade sessions (but not below average purchase price) with grains storage expenses taken into account. It is to be admitted, mutual offsets were carried out through State Treasury Bank Accounts. As to experts estimation, Government indebtedness for grain traders VAT reimbursement presently exceeds UAH3 milliard; there are companies to which Government owes UAH400–500 mn. Experts say all that makes negative impact on Ukraine grains export rates.

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